Holding Z Energy accountable for its climate change claims

Consumer, ELI & LCANZI v Z Energy

Photo of the three plaintiffs, left to right: Dr Matt Hall, Environmental Law Initiative (ELI), Jessica Palairet, Lawyers for Climate Action New Zealand, Jon Duffy, Consumer NZ

Representatives for the three plaintiffs (left to right): Dr Matt Hall, Environmental Law Initiative; Jessica Palairet, Lawyers for Climate Action New Zealand; Jon Duffy, Consumer NZ. Photo credit: Celeste Fontaine

As a result of our joint case against Z Energy, the fossil fuel company has apologised to the public for any confusion caused by aspects of its advertising campaign, which claimed it was in the business of getting out of the petrol business.

The apology is part of a settlement statement we published, along with our co-plaintiffs, Consumer NZ and Lawyers for Climate Action NZ, with Z Energy in November 2025, which has now concluded our proceedings.

The settlement statement, that was published in the Sunday Star Times and the Herald on Sunday on November 2nd, 2025, included Z’s apology and a list of points, which include (but are not limited to):

  1. Z says that when it made the statement in 2022 “We’re in the business of getting out of the petrol business”, it did not intend to convey that it was stopping selling petrol any time soon.

  2. In the campaign Z referred to having built a biofuels plant, but this was not operating at the time, and then closed three months later.

  3. Z’s greenhouse gas emissions reduction target was referred to in parts of the campaign, and the statement makes it clear that this target only included Z’s operational emissions, but not the emissions of fuel sold to its customers.

To read the full statement and apology, click here.

We continue to believe this was one of the worst examples of greenwashing in New Zealand’s history.

For its part, Z Energy does not consider its actions to be greenwashing, or to involve misleading and deceptive conduct, and has not admitted any liability. The company has however, agreed with us that greenwashing is a prevalent problem in New Zealand, and that it has been subject to limited enforcement action.

Further points Z has acknowledged:

• Z Energy acknowledged that petrol and fossil fuels are a leading contributor, globally, to climate change, and that transport emissions, including from the fuel Z Energy sells, are a big part of New Zealand’s emissions.

• Z Energy agrees with the plaintiffs that the government has a crucial role in facilitating the energy transition in New Zealand, particularly in relation to the transport sector.

The agreement to settle did not include any payment to us or any of the plaintiffs by Z Energy.

Why did we take this case?

Z Energy is one of New Zealand’s biggest emitters.

Z Energy’s advertising featured slogans including, “we’re in the business of getting out of the petrol business”, and Z is “well on track to achieving [its] carbon reduction targets”.

Along with Consumer NZ and LCANZI, we filed proceedings in the High Court. We alleged that, despite these statements, Z’s fossil fuel emissions and greenhouse gas emissions had been increasing, and we sought declarations from the High Court that Z Energy had breached the Fair Trading Act by misleading New Zealanders with its public messaging.

We took the case so that when businesses say they’re helping the environment, the public knows that they actually are.

Z Energy does not consider its actions to be greenwashing, or to involve misleading conduct.

Case timeline

August 2022 – Lawyers for Climate Action NZ lodge complaint with the Commerce Commission. The Commerce Commission subsequently decides not to investigate.

November 2023 — ELI, Consumer NZ & LCANZI file proceedings at the High Court against Z Energy

March 2024 - ELI, Consumer NZ & LCANZI file second amended Statement of Claim.

November 2024 - ELI, Consumer NZ & LCANZI file third amended Statement of Claim.

November 2025 - Parties publish joint settlement statement.

 
 
 
 

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